Saturday, 20 April 2024

‘Trusted’ rules on trusted flaggers? Open issues under the Digital Services Act regime





Alessandra Fratini and Giorgia Lo Tauro, FratiniVergano European Lawyers

Photo credit:  Lobo Studio Hamburg, via Wikimedia Commons

 

1 Introduction

The EU’s Digital Services Act (DSA) institutionalises the tasks and responsibilities of ‘trusted flaggers’, key actors in the online platform environment, that have existed, with roles and functions of variable scope, since the early 2000. The newly applicable regime fits with the rationale and aims pursued by the DSA (Article 1): establishing a targeted set of uniform, effective and proportionate mandatory rules at Union level to safeguard and improve the functioning of the internal market (recital 4 in the preamble), with the objective of ensuring a safe, predictable and trusted online environment, within which fundamental rights are effectively protected and innovation is facilitated (recital 9), and for which responsible and diligent behaviour by providers of intermediary services is essential (recital 3). This article, after retracing the main regulatory initiatives and practices at EU level that paved the way for its adoption, looks at the DSA’s trusted flaggers regime and at some open issues that remain to be tested in practice.

 

2 Trusted reporters: the precedents paving the way to the DSA

The activity of flagging can be generally recognised as that of third parties reporting harmful or illegal content to intermediary service providers that hold that content in order for them to moderate it. In general terms, it refers to flaggers that have “certain privileges in flagging”, including “some degree of priority in the processing of notices, as well as access to special interfaces or points of contact to submit their flags”. This, in turn, poses issues in terms of both the flaggers’ responsibility and their trustworthiness since, as rightly noted, “not everyone trusts the same flagger.”

In EU law, the notion of trusted flaggers can be traced back to Directive 2000/31 (the ‘e-Commerce Directive’), the foundational legal framework for online services in the EU. The Directive exempted intermediaries from liability for illegal content they managed if they fulfilled certain conditions: under Articles 12 (‘mere conduit’), 13 (‘caching’) and 14 (‘hosting’) – now replaced by Articles 4-6 DSA – intermediary service providers were liable for the information stored at the request of the recipient of the service if, once become or made aware of any illegal content, such content was not removed or access to it was not disabled “expeditiously” (also recital 46). The Directive encouraged mechanisms and procedures for removing and disabling access to illegal information to be developed on the basis of voluntary agreements between all parties concerned (recital 40).

This conditional liability regime encouraged intermediary services providers to develop, as part of their own content moderation policies, flagging systems that would allow them to rapidly treat notifications so as not to trigger liability. The systems were not imposed as such by the Directive, but adopted as a result of the liability regime provided therein.

Following the provisions of Article 16 of the Directive, which supports the drawing up of codes of conduct at EU level, in 2016 the Commission launched the EU Code of Conduct on countering illegal hate speech online, signed by the Commission and several service providers, with others joining later on. The Code is a voluntary commitment made by signatories to, among others, review the majority of the flagged content within 24 hours and remove or disable access to content assessed as illegal, if necessary, as well as to engage in partnerships with civil society organisations, to enlarge the geographical spread of such partnerships and enable them to fulfil the role of a ‘trusted reporter’ or equivalent. Within the context of the Code, trusted reporters are entrusted to provide high quality notices, and signatories are to make information about them available on their websites.

Subsequently, in 2017 the Commission adopted the Communication on tackling illegal content online, to provide guidance on the responsibilities of online service providers in respect of illegal content online. The Communication suggested criteria based on respect for fundamental rights and of democratic values to be agreed by the industry at EU level through self-regulatory mechanisms or within the EU standardization framework. It also recognised the need to strike a reasonable balance between ensuring a high quality of notices coming from trusted flaggers, the scope of additional measures that companies would take in relation to trusted flaggers and the burden in ensuring these quality standards, including the possibility of removing the privilege of a trusted flagger status in case of abuses.

Building on the progress made through the voluntary arrangements, the Commission adopted Recommendation 2018/334 on measures to effectively tackle illegal content online. The Recommendation establishes that cooperation between hosting service providers and trusted flaggers should be encouraged, in particular, by providing fast-track procedures to process notices submitted by trusted flaggers, and that hosting service providers should be encouraged to publish clear and objective conditions for determining which individuals or entities they consider as trusted flaggers. Those conditions should aim to ensure that the individuals or entities concerned have the necessary expertise and carry out their activities as trusted flaggers in a diligent and objective manner, based on respect for the values on which the Union is founded.

While the 2017 Communication and 2018 Recommendation are the foundation of the trusted flaggers regime institutionalized by the DSA, further initiatives took place in the run-up to it.

In 2018, further to extensive consultations with citizens and stakeholders, the Commission adopted a Communication on tackling online disinformation, which acknowledged once again the role of trusted flaggers to foster credibility of information and shape inclusive solutions. Platform operators agreed on a voluntary basis to set self-regulatory standards to fight disinformation and adopted a Code of Practice on disinformation. The Commission’s assessment in 2020 revealed significant shortcomings, including inconsistent and incomplete application of the Code across platforms and Member States and lack of an appropriate monitoring mechanism. As a result, the Commission issued in May 2021 its Guidance on Strengthening the Code of Practice on Disinformation, containing indications on the dedicated functionality for users to flag false and/or misleading information (p. 7.6). The Guidance also aimed at developing the existing Code of Practice towards a ‘Code of Conduct’ as foreseen in (now) Article 45 DSA.

Further to the Guidance, in 2022 the Strengthened Code of Practice on Disinformation was signed and presented by 34 signatories who had joined the revision process of the 2018 Code. For signatories that are VLOPs, the Code aims to become a mitigation measure and a Code of Conduct recognized under the co-regulatory framework of the DSA (recital 104).

Finally, in the context of provisions/mechanisms defined before the DSA, it is worth mentioning Article 17 of Directive 2019/790 (the ‘Copyright Directive’), which draws upon Article 14(1)(b) of the e-Commerce Directive on the liability limitation for intermediaries and acknowledges the pivotal role of rightholders when it comes to flagging unauthorised use of their protected works. Under Article 17(4), in fact, “[i]f no authorisation is granted, online content-sharing service providers shall be liable for unauthorised acts of communication to the public, including making available to the public, of copyright-protected works and other subject matter, unless the service providers demonstrate that they have: (a) made best efforts to obtain an authorisation, and (b) made, in accordance with high industry standards of professional diligence, best efforts to ensure the unavailability of specific works and other subject matter for which the rightholders have provided the service providers with the relevant and necessary information; and in any event (c) acted expeditiously, upon receiving a sufficiently substantiated notice from the rightholders, to disable access to, or to remove from their websites, the notified works or other subject matter, and made best efforts to prevent their future uploads in accordance with point (b)” (emphasis added).

 

3 Trusted flaggers under the DSA

The DSA has given legislative legitimacy to trusted flaggers, granting a formal (and binding) recognition to a practice that far developed on a voluntary basis.

According to the DSA, a trusted flagger is an entity that has been granted such status within a specific area of expertise by the Digital Service Coordinator (DSC) in the Member State in which it is established, because it meets certain legal requirements. Online platform providers must process and decide upon - as a priority and with undue delay - notices from trusted flaggers concerning the presence of illegal content on their online platform. That requires that online platform providers take the necessary technical and organizational measures with regard to their notice and action mechanisms. Recital 61 exposes the rationale and scope of the regime: notices of illegal content submitted by trusted flaggers, acting within their designated area of expertise, are treated with priority by providers of online platforms.

The regime is mainly outlined in Article 22.

Eligibility requirements

Article 22(2) sets out the three cumulative conditions to be met by an applicant wishing to be awarded the status of trusted flagger: 1) expertise and competence in detecting, identifying and notifying illegal content; 2) independence from any provider of online platforms; and 3) diligence, accuracy and objectivity in how it operates. Recital 61 clarifies that only entities - being them public in nature, non-governmental organizations or private or semi-public bodies - can be awarded the status, not individuals. Therefore, (private) entities only representing individual interests, such as brands or copyright owners, are not excluded from accessing the trusted flagger status. However, the DSA displays a preference for industry associations representing their member interests applying for the status of trusted flagger, which appears to be justified by the need to ensure that the added-value of the regime (the fast-track procedure) be maintained, with the overall number of trusted flaggers awarded under the DSA remaining limited. As clarified by recital 62, the rules on trusted flaggers should not be understood to prevent providers of online platforms from giving similar treatment to notices submitted by entities or individuals that have not been awarded trusted flagger status, from otherwise cooperating with other entities, in accordance with the applicable law. The DSA does not prevent online platforms from using mechanisms to act quickly and reliably against content that violates their terms and conditions.

The status’ award

Under Article 22(2), the trusted flagger status shall be awarded by the DSC of the Member State in which the applicant is established. Different from the voluntary trusted flagger schemes, which are a matter for individual providers of online platforms, the status awarded by a DSC must be recognized by all providers falling within the scope of the DSA (recital 61). Accordingly, the DSC shall communicate to the Commission and to the European Board for Digital Services details of the entities to which they have awarded the status of trusted flagger (and whose status they have suspended or revoked - Article 22(4)), and the Commission shall publish and keep up to date such information in a publicly available database (Article 22(5)).

Under Article 49(3), Member States were to designate their DSCs by 17 February 2024; the Commission makes available the list of designated DSCs on its website. The DSCs, who are responsible for all matters relating to supervision and enforcement of the DSA, shall ensure coordination in its supervision and enforcement throughout the EU. The European Board for Digital Services, among other tasks, shall be consulted on Commission’s guidelines on trusted flaggers, to be issued “where necessary”, and for matters “dealing with applications for trusted flaggers” (Article 22(8)).

The fast-track procedure

Article 22(1) requires providers of online platforms to deal with notices submitted by trusted flaggers as a priority and without undue delay. In doing so, it refers to the generally applicable rules on notice and action mechanisms under Article 16. On the priority to be granted to trusted flaggers’ notices, recital 42 invites providers to designate a single electronic point of contact, that “can also be used by trusted flaggers and by professional entities which are under a specific relationship with the provider of intermediary services”. Recital 62 explains further that the faster processing of trusted flaggers’ notices depends, amongst other, on “actual technical procedures” put in place by providers of online platforms. The organizational and technical measures that are necessary to ensure a fast-track procedure for processing trusted flaggers’ notices remain a matter for the providers of online platforms.

Activities and ongoing obligations of trusted flaggers

Article 22(3) requires trusted flaggers to regularly (at least once a year) publish detailed reports on the notices they submitted, make them publicly available and send them to the awarding DSCs. The status of trusted flagger may be revoked or suspended if the required conditions are not consistently upheld and/or the applicable obligations are not correctly fulfilled by the entity. The status can only be revoked by the awarding DSC following an investigation, either on the DSC’s own initiative or on the basis of information received from third parties, including providers of online platforms. Trusted flaggers are thus granted the possibility to react to, and fix where possible, the findings of the investigation (Article 22(6)).

On the other hand, if trusted flaggers detect any violation of the DSA provisions by the platforms, they have the right to lodge a complaint with the DSC of the Member State where they are located or established, according to Article 53. Such a right is granted not only to trusted flaggers but to any recipient of the service, to ensure effective enforcement of the DSA obligations (also recital 118).

The role of the DSCs

With the DSA it becomes mandatory for online platforms to ensure that notices submitted by the designated trusted flaggers are given priority. While online platforms maintain discretion as to entering into bilateral agreements with private entities or individuals they trust and whose notices they want to process with priority (recital 61), they must give priority to entities that have been awarded the trusted flagger status by the DSCs. From the platforms’ perspective, the DSA ‘reduces’ their burden in terms of decision-making responsibility by shifting it to the DSCs, but ‘increases’ their burden in terms of executive liability (for the implementation of measures ensuring the mandated priority). From the reporters’ perspective, the DSA imposes a set of (mostly) harmonised requirements to be awarded the status by a DSC, once and for all platforms, and to maintain such status afterward.

While the Commission’s guidelines are in the pipeline, some DSCs have proposed and adopted guidelines to assist potential applicants with the requirements for the award of the trusted flagger status. Among others, the French ARCOM published “Trusted flaggers: conditions and applications” on its website; the Italian AGCOM published for consultation its draft “Rules of Procedure for the award of the trusted flagger status under Article 22 DSA”; the Irish Coimisiún na Meán published the final version of its “Application Form and Guidance to award the trusted flagger status under Article 22 DSA”; as did the Austrian KommAustria, the Danish KFST and the Romanian ANCOM. The national guidelines have been developed following exchanges with the other authorities designated as DSCs (or about to be so) with the view to ensuring a consistent and harmonised approach in the implementation of Article 22. As a matter of fact, the published guidelines are largely comparable.

 

4 Open issues

While the DSA’s regime is in its early stages and no trusted flagger status has been awarded yet, some of its merits have been acknowledged already, such as the fact that it has standardised existing practices, harmonised eligibility criteria, complemented special regimes – such as the one set out in Article 17 Copyright Directive - confirmed the cooperative approach between stakeholders, and finally formalised the role of trusted flaggers as special entities in the context of notice and action procedures.

At the same time, the DSA’s regime leaves on the table some open issues, such as the respective role of trusted flaggers and other relevant actors in the context of tackling illegal/harmful content online, such as end users and reporters that reach bilateral agreements with the platforms, which remain to be addressed in practice for the system to effectively work.

The role of trusted flaggers vis-à-vis end users

While the DSA contains no specific provision on the role of trusted flaggers vis-à-vis end users, some of the national guidelines published by the DSCs require that the applicant entity, as part of the condition relating to due diligence in the flagging process, indicates whether it has mechanisms in place to allow end users to report illegal content to it. In general, applicants have to indicate how they select content to monitor (which may include end users’ notices) and how they ensure that they do not unduly concentrate their monitoring on any one side and apply appropriate standards of assessment taking all legitimate rights and interests into account. As a matter of fact, the organisation and management of the relationship with end users (onboarding procedures, collection and processing of their notices, etc.) are left to the trusted flaggers. For example, some organisations (such as those part of the INHOPE network, operating in the current voluntary schemes) offer hotlines to the public to report to them, including anonymously, illegal content found online.

Although it is clear from the DSA that end users retain the right to flag their notices directly to online platforms (Article 16) with no duty to notify trusted flaggers, as well as their right to autonomously lodge a complaint against platforms (Article 53) and to claim compensation for damages (Article 54), it remains unclear whether, in practice, it will be more convenient for end users to rely on specialised trusted flaggers for their notices to be processed more expeditiously – in other words, whether the regime provides sufficient incentives, at least for some end users, to go the trusted flaggers’ way. On the other hand, it remains unclear to what extent applicant entities will be actually ‘required’ to put in place effective mechanisms to allow end users to report illegal or harmful content to them – in other words, whether the due diligence requirements will imply the trusted flaggers’ review of end users’ notices, within their area of expertise.

From another perspective, in connection with the reporting of illegal content, trusted flaggers may come across infringements by the platforms, as any recipient of online services. In such cases, Article 53 provides the right to lodge a complaint with the competent DSC, with no difference being made between complaints lodged respectively by trusted flaggers and by end users. If ‘priority’ is to be understood as the main feature of the privileged status granted to trusted flaggers when flagging illegal content online to platforms, a question arises about the possibility of granting them a corresponding priority before the DSCs when they complain about an infringement by online platforms. And in this context, one may wonder whether lodging a complaint to the DSC on behalf of end users might also fall within the scope of action of trusted flaggers (to the extent of claiming platforms’ abusive practices such as shadow banning, recital 55).

The role of trusted flaggers vis-à-vis other reporters

The DSA requires online platforms to put in place notice and action mechanisms that shall be “easy to access and user-friendly” (Article 16) and to ensure an internal complaint-handling system to recipients of the service (Article 20). However, as noted above, these provisions concern all recipients, with no difference in treatment for trusted flaggers. Although their notices are granted priority by virtue of Article 22, which leaves platforms free to choose the most suitable mechanisms, the DSA says nothing about ‘how much priority’ should be guaranteed to trusted flaggers with respect to notices filed not only by end users, but (also - and especially) by other entities/individuals with whom platforms have agreements in place.

In this respect, guidance would be welcome as to the degree of prevalence that platforms are expected to give trusted flaggers’ notices compared to other trusted reporters’, as would a clarification as to whether the nature of the content may influence such prevalence. From the trusted flaggers’ perspective, there should be a rewarding incentive to engage in a role that comes with the price tag of ongoing obligations.

 

5 Concluding remarks

While the role of trusted flaggers is not new when it comes to tackling illegal content online, the tasks newly entrusted to the DSCs in this context are. This results in a different allocation of responsibilities for the actors involved, with the declared aims of ensuring harmonisation of best practices across sectors and territories in the EU and a better protection for users online. Some open issues, as the ones put forward above, appear at this stage to be relevant, in particular for ensuring that the trusted flaggers’ mechanism effectively works as an expeditious remedy against harmful and illegal content online. It is expected that the awaited Commission guidelines under Article 22(8) DSA will shed a clarifying light on those issues. In the absence, there is a risk that the costs-benefits analysis - with the costs being certain and the benefits in terms of actual priority uncertain - might make the “trusted flagger project” unattractive for a potential applicant.

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